Transport costs to rise next month

Published: 31 December, 2010

KENT: Merchants face additional costs for transport with the latest increase in fuel duty planned for 1 January 2011.

The increase of 0.76p/litre from January is the third rise since April 2010 and will push diesel prices to within four pence a litre of the all-time highs reached in July 2008 when oil prices were at $145 a barrel.

The Freight Transport Association condemned the increase. Simon Chapman, the association's chief economist, said: "Diesel is not an optional extra for industry. Rises in fuel commodity prices have already left operators facing diesel prices nine pence per litre higher than a year ago – adding £3800 a year to the bill of running an articulated truck.

"This latest fuel duty increase, together with those previously introduced this year will add a further £1 200 a year," he said.

Diesel currently represents 35% of the cost of running a truck. Duty on diesel rose by 1p/litre to 57.19p/litre on 1 April 2010 and by a further 1p/litre to 58.19/litre on 1 October 2010. It is set to rise by another 0.76p/litre on 1 January 2011 to 58.95p/litre.

Fuel duty represents 56% of the cost of a litre of bulk diesel (excluding VAT) as at 17 December 2010.

As part of its proactive role in the Construction Logistics and Cyclist Safety (CLOCS) programme and its adherence to the Fleet Operator Recognition Scheme (FORS), CCF has invested in two brand new Mercedes Econic trucks that will protect vulnerable road users and meet the safety criteria of major contractors in the Capital.

Haldane Fisher has taken delivery of two 5t capacity Combilift 4-wheeled sideloaders at its Newry-based head office in Northern Ireland to move large packs of timber in and around the production and sawmill areas.

Linde Material Handling has expanded its range of electric tow tractors with the launch of its latest P20 model with a two tonne towing capacity, making it capable of pulling up to five small trailers.

Aliaxis has introduced a dedicated fleet of more than 30 specialist commercial vehicles to meet with its nationwide operational requirements for its UK brands, which include Hunter Plastics, Marley Plumbing & Drainage and Durapipe UK.